105 paragraphs found in INT 16
However, the IFRIC noted that its conclusion would not resolve the divergence of views on the foreign currency risk that may be designated as a hedge relationship in the hedge of a net investment in a foreign operation. The IFRIC therefore decided that an …
The IFRIC considered whether the risk that qualifies for hedge accounting in a hedge of a net investment in a foreign operation arises from the exposure to the functional currency of the foreign operation in relation to the presentation currency of the …
The answer to this question is important when the presentation currency of the group is different from an intermediate or ultimate parent entity’s functional currency. If the presentation currency of the group and the functional currency of the parent …
IFRS 9 Financial Instruments replaced the hedge accounting requirements in IAS 39. However, the requirements regarding hedges of a net investment in a foreign operation were retained from IAS 39 and relocated to IFRS …
The IFRIC noted the following arguments for permitting hedge accounting for a hedge of the presentation currency: (a) If the presentation currency of the group is different from the ultimate parent entity’s functional currency, a difference arises on …
The IFRIC noted the following arguments for allowing an entity to designate hedging relationships solely on the basis of differences between functional currencies: (a) The functional currency of an entity is determined on the basis of the primary economic …
When comparing the arguments in paragraphs BC12 and BC13 , the IFRIC concluded that the presentation currency does not create an exposure to which an entity may apply hedge accounting. The functional currency is determined on the basis of the primary …
The IFRIC considered which entity’s (or entities’) functional currency may be used as a reference point for the hedged risk in a net investment hedge. Does the risk arise from the functional currency of: (a) the immediate parent entity that holds directly …
The IFRIC concluded that the risk from the exposure to a different functional currency arises for any parent entity whose functional currency is different from that of the identified foreign operation. The immediate parent entity is exposed to changes in …
Permitting only the ultimate parent entity to hedge its net investments would ignore the exposures arising on net investments in other parts of the entity. Conversely, permitting only the immediate parent entity to undertake a net investment hedge would …